About the tax

I do not owe the tax. Do I still need to file?

Yes. Every adult resident must file the Arts Income Tax Return. If you live in a household above the federal poverty level, but you have less than $1,000 of annual taxable income, indicate by checking the box that states "Annual taxable income less than $1,000". If your only income is from Social Security benefits, pension benefits from the Oregon Public Employees Retirement System (PERS), pension benefits from the Federal Employees Retirement System (FERS) or interest income from US Treasury bill notes and bonds, indicate by checking the box that states "Annual taxable income less than $1,000”. If your primary source of annual income are those listed previously and any other income you have is less than $1,000, indicate by checking the box that states "Annual taxable income less than $1,000”. Do not pay the $35 tax.

Any bill sent to a specific residential property (like the property tax or the water bill) will not know the number of adults that should pay the tax. For example, the property tax bill for an apartment complex with 50 units will go to the property manager or property owner, not the individuals who rent the units. There could be 50 or more individuals at that one complex that owe the tax, yet only one property tax bill is issued. Similarly, the water bill does not include any information about how many adults live at the residential address or how many have income.

Is the Arts Tax prohibited under the Oregon Constitution as a poll or head tax?

No. In Wittemyer v. City of Portland, the Multnomah County Circuit Court ruled on June 21, 2013, that “the Arts Tax is not a Poll or Head tax as prohibited by the Oregon Constitution. … The Arts Tax is not a head or poll tax because it is not assessed per capita. In assessing the tax, the City considers a person’s income in three distinct provisions: the tax applies only to (l) income exceeding $ 1,000, (2) non-exempt income sources, and (3) income of individuals residing in households with income above the federal poverty guidelines. Taxpayers who are under the age of 18 are exempt from the tax. The practical effect of the tax is to tax income of certain City residents within a certain income range and is therefore not a poll or head tax.”

The IRS and Oregon Department of Revenue (DOR) require a full SSN. Additionally, the DOR requires the complete date of birth to individually identify taxfilers; we need your SSN and your year of birth to accomplish this. For example, according to the White Pages, there are at least 10 men named John Smith living in Portland but none of them have exactly the same year of birth and SSN. Having your SSN and year of birth ensures we do not confuse one for another. We also need the year of birth to ensure we do not assess the tax on someone under 18 years old. Supplying the City with these two (2) key pieces of information will help ensure that your tax payment is properly credited in your name.

Who pays the tax

Who has to pay?

City of Portland residents 18 years or older who have $1,000 or more of annual income and are in a household above the federal poverty level. If your household's annual income is at or below the federal poverty level, you may request an exemption. If you move in or out of Portland during 2014, you still must pay the entire $35 tax.

Qualifying taxpayers 70 years old or older with only non-taxable income (for example, Social Security, Federal Employee Retirement, Oregon Public Employee Retirement, U.S. Treasury interest) OR income below the federal poverty-level can request a permanent senior filing exemption. This exempts the taxpayer from filing for the Arts Tax each year. If the taxpayer’s financial situation changes, the taxpayer must notify the Revenue Division and file an Arts Tax return for any year that the taxpayer no longer qualifies for the exemption.

If you are in Multnomah County, you can easily check your address in Portland Maps to see if you are within the city limits of Portland. Go to www.portlandmaps.com and enter your address. Click on the "Assessor" link towards the top of the page. Check your Tax Districts within the "Property Description" section. Tax District 130 is the City of Portland. If your address has this tax district, you reside within the City of Portland.

If you are in Clackamas County, you can check your address at http://web3.clackamas.us/taxstatements. If your property tax statement indicates that you have been assessed property taxes by the City of Portland (City Portland), then you are considered a Portland resident.

The federal poverty guideline is issued each year in the Federal Register by the Department of Health and Human Services (HHS). The guidelines are used for administrative purposes — for instance, determining financial eligibility for certain federal programs. The Arts Tax uses this guideline for determining whether a household is exempt from paying the tax.

2014 Poverty Guideline

Persons in Household

Poverty Guideline

1

$11,670

2

$15,730

3

$19,790

4

$23,850

5

$27,910

6

$31,970

7

$36,030

8

$40,090

For households with more than eight (8) persons, add $4,060 for each additional person.

In cases where one spouse is "income earning", there would only be one person subject to the $35 tax. If the non-working spouse earned more than $999.99 of annual income, they are “income-earning” and would need to pay the tax, so $70 would be due. For more information about what income is considered, please see the FAQ "When determining if a resident is “income earning”, what income is considered?"

Adult children living with their parents who earned less than $1,000 of income in 2014 do not pay the tax. Adult children can be added to their parent's tax filing. Indicate whether they have income and owe the $35 tax or if they have annual income under $1,000 and don't owe the tax.

If you are claiming non-taxable income because your only source of income is non-taxable (benefits paid by: Social Security (SS), Supplemental Security Income (SSI), federal Railroad Retirement Act of 1974 (RR), Oregon Public Employee Retirement System (PERS), federal retirement benefits (FERS and CSRS), United States Treasury interest (USTI), or any combination of these benefits), you must send a copy of your 2014 federal tax return and all that apply:

Social Security or Railroad Retirement: Copy of your annual benefit statement(s) from the Social Security Administration or Railroad Retirement Act of 1974

Oregon PERS / FERS (CSRS): Copy of your 1099-R from PERS, FERS, CSRS

Other non-taxable income: Copy of your 1099-INT showing US Treasury Interest or other supporting documentation of non-taxable income

All claims of non-taxable income must have a 2014 federal tax return attached

If you do not have supporting documents or did not file a federal tax return, you must complete federal form 4506-T (Request for Transcript of Tax Return, record of account) or a statement why you cannot provide documentation in the case where you are submitting the claim on behalf of another person. Form 4506-T is available online at: www.portlandoregon.gov/revenue/4506T.

If the student earned more than $999.99 of income in 2014 and is a Portland resident, 18 or over, and in a household that is above the federal poverty level, they would pay the tax. It does not matter where they attend school. Generally, college students are considered Portland residents if they come home to Portland during school breaks.

I lived in Portland in 2014 and then moved out of Portland in 2015. Do I need to pay the tax?

Yes. Since you resided in Portland during 2014, you would be subject to the tax (due April 15, 2015). You would also be subject to the 2015 tax (due April 15, 2016) because you lived in Portland for a portion of 2015. If you did not live in Portland in 2016, you would not need to file and pay for 2016 (due April 15, 2017). If you do not currently live in Portland when you are preparing your Arts Tax return, you should give your Portland address (before moving out) on your return.

When determining if a resident is “income earning”, what income is considered?

All income is considered, regardless of amount. Income can be from wages, self-employment, investments, rentals, retirement, disability, unemployment, spousal/child support, or any other source. "Income" does not include any income a city is prohibited from taxing by state or federal laws.

Your only income cannot be taxed by the City (examples are Social Security, Oregon PERS pension benefits, FERS pension benefits or interest income from US Treasury bill notes and bonds); or

Your primary income source cannot be taxed by the City (examples above) and you individually have $0 to $999.99 in other income for 2014.

Income for purposes of the household exemption (being at or below the federal poverty level) is defined differently. Refer to that definition if you think you qualify for an exemption from the tax. You must claim exemption on the Arts Income Tax Return and provide supporting tax documents by April 15, 2015.

If you are claiming non-taxable income because your only source of income is non-taxable (benefits paid by: Social Security (SS), Supplemental Security Income (SSI), federal Railroad Retirement Act of 1974 (RR), Oregon Public Employee Retirement System (PERS), federal retirement benefits (FERS and CSRS), United States Treasury interest (USTI), or any combination of these benefits), you must send a copy of your 2014 federal tax return and any of the following that apply:

Social Security or Railroad Retirement: Copy of your annual benefit statement(s) from the Social Security Administration or Railroad Retirement Act of 1974

Oregon PERS / FERS (CSRS): Copy of your 1099-R from PERS, FERS, CSRS

Other non-taxable income: Copy of your 1099-INT showing US Treasury Interest or other supporting documentation of non-taxable income

Again, all claims of non-taxable income must have a 2014 federal tax return attached

If you do not have supporting documents or did not file a federal tax return, you must complete federal form 4506-T (Request for Transcript of Tax Return, record of account) or a statement why you cannot provide documentation in the case where you are submitting the return on behalf of another person. Form 4506-T is available online at: www.portlandoregon.gov/revenue/4506T.

If you were 18 years old by December 31, 2014, you must file and pay (if your annual income was $1,000 or more) the tax for 2014. If you live with your parents, they may include you on their tax filing.

If you had less than $999.99 of annual taxable income, you would select “Annual taxable income less than $1,000” line of the Arts Tax Return (or Tax Info form online).

If you are included in a household that is at or below the federal poverty level, you must be included in the exemption filing for the household. Any income you have must be added into your household's income to determine if your household qualifies for the exemption.

Filing & paying the tax

No. A filing reminder or an uncompleted Arts Income Tax Return Form will be mailed on or around March 15, 2015. Remember that you are required to file even if you are do not owe the tax. Providing your email address when you file, whether online or printed form, will allow the Revenue Division to send you an electronic reminder notice next year.

If you need to pay your 2012 and/or 2013 tax bill, go to "Pay an Arts Tax Bill" and use the confirmation number on your bill to pay.

Yes, but not online. All requests for online payment cancellation must be received before 5pm on the same day the payment was made. Call 503-865-4278, Monday through Friday, 8:00am until 5:00pm, except holidays.

Yes. However, to reduce administrative costs and the environmental impact of mailing paper forms, and to maximize revenue to local schools and non-profits we ask people with Internet access to file online at www.portlandoregon.gov/artstax. The form, ARTS2014 (to pay the tax and to request a poverty exemption) can be downloaded, just click the link on the form name. Forms are also available at our office at 111 SW Columbia St., Suite 600, Portland, Oregon 97201. Finally, we can email the forms to you.

No. Federal and state income tax extensions are for time to file, not time to pay, and the Arts Tax form is actually easier to complete than a federal extension form. Filing for the Arts Tax requires only five (5) pieces of information: name, address, email address, last four (4) digits of your Social Security Number (SSN) and your year of birth.

If I claim to be exempt from the tax by being under the federal poverty level, what type of documentation would I be required to provide in order to verify my income level?

You must send documents that support your household exemption claim. If you request an exemption online you have the option of uploading your documents at the time you make your online request.

You must provide verification documents in order for your exemption to be approved. Please provide a signed copy of your 2014 federal Form 1040 (page 1 and 2). If you are unable to provide this return (for example, you are not subject to the Form 1040 filing requirements), you can provide a copy of a public assistance award letter for SNAP (Supplemental Nutrition Assistance Program) AND TANF (Temporary Assistance for Needy Families) benefits. If you cannot provide any of these you must provide a completed 2014 federal Form 4506-T (record of account). You can print this form from our website www.portlandoregon.gov/artstax (or www.artstax.net). Please go to our exemptions website if you need more information about exemptions.

Other supporting documents may also be accepted for certain kinds of income. If you have questions, please contact us.

Failure to provide information supporting your exemption will result in denial of your exemption.

Yes, you may file and pay the tax for any adult, even if they don't live with you. If you file online (at www.artstax.net), first you will be asked for your Portland home address (this could be your home address or the address of the person/people you are filing for), billing email, and for the number of taxfilers (you can file for income earning and non-income earning adults). The billing email address and home address will copy to all taxfilers but you can change this information for any (or all) taxfilers. You may file for another adult, your spouse, a parent, or an adult child. You will then be able to pay for everyone in a single payment transaction. If you live outside of Portland you can also file for someone who does live in Portland.

Taxpayers that itemize deductions on their federal income tax return will generally be able to deduct their Arts Tax payment on their 2015 Schedule A (as State and Local Income Taxes). Consult your tax advisor if you have questions.

What browsers, platforms, and settings are suggested for online payments and exemption requests?

The Arts Tax website was primarily designed for and tested on PCs running Windows XP or Windows 7, using Internet Explorer or Google Chrome. The Revenue Division performed successful Arts Tax transactions in limited testing on alternative platforms such as Apple computers, mobile phones, and tablets using the top five U.S. browsers (Internet Explorer, Google Chrome, Firefox, Safari, and Opera); however, some users of alternative platforms and browsers may experience issues. Security settings, browser add-ons, and features being turned off may all result in issues or the inability to save the receipt as a PDF.

The term CAPTCHA (or Completely Automated Public Turing Test To Tell Computers and Humans Apart) was coined in 2000 by Luis von Ahn, Manuel Blum, Nicholas Hopper and John Langford of Carnegie Mellon University. At the time, they developed the first CAPTCHA to be used by Yahoo.

A CAPTCHA is a program that can tell whether its user is a human or a computer. CAPTCHAs are used by many websites to prevent abuse from "bots," or automated programs usually written to generate spam. Computer programs generally cannot read distorted text images as well as humans, so bots cannot navigate sites protected by a CAPTCHA. The CAPTCHA presents these images for humans to decipher as a part of their normal validation procedures.

CAPTCHAs must be accessible. CAPTCHAs based solely on reading text — or other visual-perception tasks — prevent visually impaired users from accessing the protected resource. Such CAPTCHAs may make a site incompatible with Section 508 of the Rehabilitation Act (29 USC 794d) in the United States. Any implementation of a CAPTCHA should allow blind users to get around the barrier, for example, by permitting users to opt for an audio CAPTCHA. The City of Portland has selected reCAPTCHA to meet this accessibility need.

Refund request

I paid the Arts Tax in error. How do I get a refund?

Refunds will be issued only in the event of overpayment, duplicate payments, or a payment made when no tax was due. An online payment made Monday through Friday during regular business hours may be voided the same day it is made if the Division receives the request before 4 pm Pacific Time by calling (503) 865-2478.

All other refund requests must be made in writing. You will need to complete the Arts Tax Refund Request form (AREF) form within 90 days of payment. You must file the form by that date or you waive your right to receive a refund.